Bill > S2233

This bill establishes a licensing framework for "self-service storage agents," which are operators of self-storage facilities who wish to sell or offer insurance to their customers. The bill defines key terms like "occupant" and "personal property" by referencing existing laws and allows the commissioner to issue renewable licenses for up to two years to eligible operators. Applicants must be at least 18 years old, provide business addresses, and maintain lists of facilities and employees authorized to sell insurance, which must be provided to the commissioner upon request. The insurance offered can only be for personal property stored at the facility and must be presented with approved informational materials that detail coverage, potential duplication with other insurance policies, and the process for filing claims. Employees or representatives selling this insurance do not need a separate license but must be at least 18, and the self-storage agent must obtain a license to authorize them. The bill also outlines training requirements for employees, prohibits self-storage agents from acting as licensed insurers, and permits reasonable commissions and incentive payments. It clarifies that operators are not required to be licensed solely to distribute promotional insurance materials and that self-storage agents are exempt from continuing education requirements. The bill also addresses how insurance charges can be billed and collected, stating that funds are held in trust for the insurer, and mandates notification to occupants of any changes to insurance terms. Violations of these provisions can result in fines and other penalties imposed by the commissioner, such as suspending the privilege of transacting self-storage insurance at specific locations or revoking an individual's right to act under the license. Finally, the bill states that Chapter 176D, which deals with unfair and deceptive practices in the insurance industry, will apply to those involved in marketing or selling this type of coverage.